"When it comes to choosing a mutual fund, two-thirds of
consumers are more confident at purchasing a car, home
computer, or life insurance policy. Baby-boomers, who
came of age at roughly the same time as the explosion in
mutual funds, are even less confident than other
consumers," says Neal Cutler, a financial gerontologist
at Widener University who directed a financial-literacy
survey. Wealthier individuals aren’t immune to the
mutual fund crisis of confidence. Only 31% of high
income boomers are comfortable picking funds, compared
with 27% of their low income contemporaries. Cutler
believes his research bolsters the case for slowing down
partial privatization of social security. "If we were to
change the system tomorrow, the public would not be
ready," he says.

Source: Kiplinger's - July ‘97

Written by:
Sandra McKinnon, Consumer & Family Economics Specialist,
University of Missouri Extension